ETH Price Shoots 5% As SEC Ends Ethereum Investigation, Whale Activity Jumps

Just before approving the highly anticipated spot Ethereum ETF, the U.S. Securities and Exchange Commission (SEC) delivered an unexpected surprise to the Ethereum community. According to a recent report, the SEC informed ConsenSys that it is willing to end its investigation into Ethereum’s status as a security. Following this announcement, the price of Ethereum (ETH) saw a significant bounce, rising 5% and nearing the $3,600 mark. Additionally, an Ethereum whale purchased 5,603 ETH shortly after the news broke

SEC to End Ethereum Investigation

As announced by ConsenSys, the company reached out to the SEC regarding the status of its investigation into Ethereum 2.0. Furthermore, in a letter sent earlier this month, CensenSys sought clarification from the SEC on whether the approval of the spot Ethereum ETF would result in the closure of their ongoing investigation.

ConsenSys has assured that it would continue its legal battle for further regulatory clarity concerning its user interface software, MetaMask Swaps and Staking. In the lawsuit, ConsenSys sought a declaration stating that offering these features doesn’t violate securities laws under any condition.

The Ethereum software firm has also expressed frustration that a lawsuit is essential in order to bring the regulatory clarity essential for the industry to thrive. ConsenSys stated that clear guidelines are essential for the advancement of crypto technologies and innovations.

Following the Wells Notice, the U.S. SEC has not yet charged ConsenSys regarding the MetaMask Wallet with swaps and staking features. ConsenSys made the Wells Notice public back in April, indicating that it could face charges in the forthcoming days and weeks.

ETH Price Surge Ahead

From its weekly lows of $3,381, the Ethereum price has bounced back strongly. While the ICO whale has been dumping Ethereum recently, other big players have joined in to scoop the supply from the exchange.

As per on-chain data provider Santiment, a prominent whale has withdrawn a total of 16,604 ETH, valued at $58.6 million, from crypto exchange Binance in the past 19 days. The ETH whale reportedly purchase the coins at an average value of $3,600.

Interestingly, the whale purchased an additional 5,603 ETH, worth $19.7 million an hour later the SEC announced permanent suspension of the investigation into Ethereum.

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Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.

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